PSC Insurance Group Limited (PSC) is delighted to announce that it has entered into an agreement to acquire 100% of the share capital of UK based Paragon International Holdings Limited (Paragon).
Founded in 1996, Paragon is a leading independent Lloyd’s and London Market broker. The business has focussed on professional and financial lines and employs over 90 staff who have strong expertise in Professional Liability, Director’s & Officers, Cyber, Casualty, Healthcare and Mergers & Acquisitions insurance. The business has grown and continues to grow entirely via organic means.
As a consequence of its market renowned expertise in professional and financial lines, Paragon services many of the world’s largest technology, legal, engineering and architectural firms.
Paragon provides wholesale brokerage services to clients in the United States and both direct and wholesale brokerage services in the United Kingdom. This acquisition will provide PSC with exposure to the significant US market via an established London based brokerage firm.
Coupled with PSC’s existing UK businesses, following the acquisition the PSC Group will be a leading Lloyd’s broker with a greatly enhanced market profile with controlled premiums of approximately £500 million.
Post completion, Paragon will continue to operate as an autonomous business unit of PSC and the leadership team of Paragon will continue in their role of managing the operations of the business with a view to drive continued growth.
The acquisition is conditional upon approval of the acquisition by the UK Financial Conduct Authority.
Managing Director of PSC Tony Robinson said:
“The acquisition of Paragon will greatly add to the scale and expertise within our UK businesses and we will enhance our position as a leading Lloyd’s broker providing services to US insurance brokers. Tara Falk and James Kalbassi have built a very impressive business over more than two decades, and we are very pleased to be partnering with the whole team at Paragon. Many of the Paragon team will become material shareholders in the PSC Group. The Group will control in excess of A$1.5 billion in premiums across all our businesses, making us an increasingly important participant in our key markets”.
Co-CEO and Founder of Paragon James Kalbassi said:
“This is a very exciting transaction. We are building from a position of strength, with a compelling, broader independent platform to create a more powerful specialty broking business. Our strategy remains unchanged : we will continue to differentiate the Paragon brand as a specialist Lloyd’s broker, with everyone continuing to focus on our customers and the opportunity to accelerate the growth of our business”
Co-CEO and Founder of Paragon Tara Falk said:
“PSC understands what is special about our business and recognises Paragon’s long term potential. We are aligning Paragon with like-minded people, who are customer focussed, have built a great business themselves and who share our ambition and vision for the future. We will continue to build on the successful Paragon model to drive PSC’s international growth objectives”
Upon completion of the acquisition, it is the PSC Board’s intention to appoint Ms Falk as an Executive Director on the PSC Board.
Chairman of PSC Brian Austin said:
“We are very pleased to welcome Tara to the PSC Board. Tara as a co-Founder of Paragon has exhibited great commercial and trade skill in building Paragon over the past few decades. The acquisition of Paragon will make the Group a leading Lloyd’s and London Markets broker. Tara will also be a significant shareholder of PSC and hence aligned like many within the Group. We believe it therefore an appropriate time to increase the Board’s UK representation, and this will complement the role Mr Mel Sims currently plays for the Board”
About PSC:
PSC is an Australian ASX listed insurance services group with a market capitalisation of approximately A$650 million. The Group has approximately 40 operating businesses operating in Australia, the UK and New Zealand. The Group has grown very strongly via organic means and acquisitions since its inception in 2006 and ASX listing in 2015.
About Paragon:
Paragon are a market leading Lloyd’s and London Markets broker, specialising in Professional Liability, Director’s & Officers, Cyber, Casualty, Healthcare and Mergers & Acquisitions insurance. The Group operates with over 90 staff and was founded in 1996.